SUMMER TRAINING REPORT ON
Survey TO Check Sale Of Brand Glycomet and Telsartan
Submitted to PUNJAB TECHNICAL UNIVERSITY, JALANDHAR
Submitted in the partial fulfillment of the Degree requirement towards the
SESSION (2008-2010 )
Submitted By: VARUN BAWA
Project Guide: Ms. SHIVANI(Lecturer)
MBA – IIIrd Sem.
CTIMIT
Roll No. 81407317174
JALANDHAR
2
GUIDE CERTIFICATE
It is hereby certified that the project report on survey to check sale of brand Glycomet and Telsartan being submitted by Varun Bawa students of the degree of Master of Business Administration (3rd sem) of CT Institute of Management and Information Technology, Jalandhar which affiliated to Punjab Technical University, Jalandhar is an original work carried out successfully under my guidance and supervision and that no part of this project has been submitted for any other degree/ diploma. The sincerely efforts put in during the course of investigation is hereby acknowledgement.
Project Guide Ms.SHIVANI (Lecturer CTIMIT)
3
This study declare declare that study entitled entitled survey to check sale of brand Glycomet Glycomet and Telsartan Telsartan in the context of Lupin Pharmaceuti Pharmaceutical cal Mohali, being being submitted submitted by me in partial partial fulfillm fulfillment ent of require require by the CTIMIT CTIMIT.Th .Thee study was conducted conducted at sales depar departm tment ent at Lu Lupi pin. n.Th Thee matt matter er embod embodied ied in this this proje project ct repor reportt has not been been submitted to any other institute or university.
VARUN BAWA
4
ACKNOWLEDGEMENT
I feel immense pleasure to give the credit of my project work not only to one individual as this work is integrated effort of all those who concerned with it. I want to owe my thanks to all those individuals who guided me to move on the track.
This report entitled “Survey To check sale of Brand Glycomet and Telsartan the outc outcom omee of my sum summer mer trai traini ning ng at Lupin Availa Available ble in the Market Market” is the Pharmaceuticals Pharmaceuticals Limited, Mohali.
I sincerely express my gratitude and lot of thanks to Mr. Gagan arora (Regional sales Manager) and to the staff of Lupin Pharmaceuticals Pharmaceuticals Limtied, Limtied, Mohali for helping me in completing my project work and making it a great success. I would like to also express my deep sense of gratitude towards the staff of C.T. Institute of Management & I.T., Jalandhar who introduced me to the subject and under whose guidance I am able to complete my project. Last but not least, I would thank all my friends, faculty members members and all respondents who who rend render ered ed thei theirr prec precio ious us time time for for cont contri ribu buti ting ng thei theirr skil skills ls and and to fill fill the the questionnaire, which made my project more appealing and attractive. VARUN BAWA
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PREFACE
Management ideas without any action based on them mean nothing. That is why practical experience is vital for any management student. Theoretical studies in the classr classroom oom are not suffi suffici cient ent to und unders ersta tand nd the the funct functio ionin ning g clima climate te and the real real problems coming in the way of management of Men, Materials, Machine and Money. So practical exposure are indispensable to such courses. Thus practical experiences are as a supplement supplement to the classroom studies. studies. It offers an exposure to real practical of management in various organizations. It exposes invaluable treasures of expenses to a student.
This Th is proje project ct deals deals with with “Sur “Surve vey y To Chec Check k Sale Saless Of Br Bran ands ds Glyc Glycom omet et and and ortune une to do this his Telsar Telsarta tan n Br Brand and Availa Available ble in the Marke Market” t”. It was my fort dissertation. I learnt a lot of new things which could never been learnt from theory classes. This research project is presentation of my summer training.
In the first phase of the research project, there is a introduction of pharmaceutical industry, industry, company profile Lupin and products of Lupin are given. After that a market research is performed with a sample size of 300 Chemists. The research study was limited to Chandigarh, Panchkula, Manimajra, Manimajra, Gurdaspur and Batala region. Here, in my survey, I have contacted the respondents through personal interviews with the help of questionnaires. The main objective of the research to do the survey to check the sale of both these Salt. In the last phase of the report findings, suggestions and conclusions have been drawn. The success of the company lies in strict quality control, manufacturing facilities, Cost Competitiveness, Well Developed Industry with Strong Manufacturing Base, Access to pool of highly trained scientists, both in India and abroad, Strong marketing and distribution network.
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Thus we can say that the company is growing well in the market by leaps and bounds and the day is no far when Lupin will left behind all the major Companies of the world. The company has proper vision and mission for the future and I hope Lupin will easily achieve its future targets and mission.
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TABLE OF CONTENTS
SR. NO.
1.1 1.2 1.3 1.4 2.1 2.2 2.3 2.4 2.5 2.6
3.1 4.1 4.2 5.1 6.1 6.2 7.1
PARTICULARS CHAPTER –I :INTRODUCTION TO STUDY Introduction to Marketing Indian pharmaceutical industry The growth scenario Steps to strengthen the industry CHAPTER-II : COMPANY PROFILE OF LUPIN History Milestones Award and recognition Research centre Strength and quality Global presence
PAGE NO.
9 -1 4 15-16 16-17 17 - 1 8 19- 20 21-25 25-27 28-31 31-32 33
CHAPTER-III : OBJECTIVES OF THE STUDY Objectives of the Study 34-35 CHAPTER-IV: RESEARCH METHODOLOGY Research Methodology 36-39 Limitations of the Study 40 CHAPTER-V : DATA ANALYSIS AND ITS INTERPRETATION Data Analysis and Its Interpretation 41-51 CHAPTER-VI : FINDINGS AND SUGGESTIONS Findings of the Study 52-53 Suggestions 54 CHAPTER-VII : CONCLUSION Conclusion 55-56 ANNEXURE Questionnaire 57-60 Bibliography 61
INTRODUCTION TO THE STUDY
8
INTRODUCTION TO THE STUDY
Thee word Th word 'Market' is deri derive ved d from from the the Lati Latin n word word 'Marcatus' which which means means merchandise, trade or place where business is conducted. Market is the atmosphere of a region in the force of demand and supply operate directly or by the means of any kind of communication that are sufficient to bring about transfer in the title of the goods and it does not necessarily mean only a place where actual buying and selling is conducted. Meaning of Marketing
Marketing is the most complex and challenging function performed by every business firm. Business regards marketing as a management function to plan, promote and deliver product to clients. Human efforts, finance and management constitute the primary resources in marketing. Marketing is the skill of selecting and fulfilling consumer desires in such a way that a dose of money put in brings back maximum return.
Marketin Marketing g is a system system of integra integrated ted business business activities activities designed designed to develop develop strategies and plans (marketing mixes) to the satisfaction of customers wants.
Marketing is nothing but creation of utilities
Time Place
Ownershi
9
‘Marketing’ views the customers as the very purpose of the business; sees the
business from the point of view of the customer; customer consciousness permeates the entire organisation, all departments and all people in the organisation, all the time. DEFINITIONS
“Marketing is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchange that satisfy individual and organizational objectives. -American Marketing Association
“Marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating, offering and exchanging products of value with others” -Philip Kotler
In shor short, t, mode modern rn mark market etin ing g begi begins ns with with the the cust custom omer er and and ends ends with with the the customer’s satisfaction and social well being. Under the market driven economy, buyer is the boss.
MARKETING PROCESS
Marketing is the process by which products are manufactured according to the needs and requirements of the consumers and after their production their ownership is passed on to the final consumer for whom it is produced. Marketing process is the dynamic process combining the different activities in the flow of goods from the producer to the consumer.
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“The “The marke marketi ting ng mach machine inery ry of today today involv involves es three three major major proce processe ssess- the concentration, dispersion & equalization of goods.” -Clark
MARKET These three processes of marketing go on simultaneously. The wholesalers on the ANTICIPATION
one hand procure products from the producers and on the other hand make available
CONSUMER DEMAND
these goods to the retailers in the different MARKET markets according to their requirements. In THROUGH this way, in their activity of dispersion they look to the equalization. RESEARCH
PRODUCER
CUSTOMER
GOODS FLOW
GOOD S FLOW MARKET OFFERING
EXCHANGE SOME THING OF VALUE MONEY FLOW
11
Marketing management is the process of scanning the environment, analyzing mark market et
oppo opport rtun unit itie ies, s,
desi design gnin ing g
mark market etin ing g
stra strate tegi gies es
and and
then then
effe effect ctiv ivel ely y
implementing and controlling marketing practices. “Marketing management is the process of planning and executing the conception, pricing, promotion and distribution of goods, services and ideas to create exchange with target groups that satisfy customer & organizational objectives” -Philip Kotler
Marketing management has to assure the marketing effectiveness of a company and its product line.
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Thus, marketing management management represents represents an important important functional functional area of business management efforts for the flow of goods and services from producers to consumer. It form formul ulat ates es seco second nd mark market etin ing g poli polici cies es and and prog progra ramm mmes es and and look lookss afte afterr thei their r implementation and control.
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INDIAN PHARMACEUTICAL INDUSTRY
The Indian Pharmaceutical Industry today is in the front rank of India’s science based based indus industr trie iess with with wide wide rangi ranging ng capabi capabilit litie iess in the the comp comple lex x fiel field d of drug drug manufacture and technology. A highly organized sector, the Indian Pharma Industry is estimated estimated to be worth $ 4.5 billion, growing at about 8 to 9 percent annually. It ranks very high in the third world, in terms of technology, quality and range of medicines manufactured. From simple headache pills to sophisticated antibiotics and complex cardiac compounds, almost every type of medicine is now made indigenously.
Playing a key role in promoting and sustaining development in the vital field of medicines, Indian Pharma Industry boasts of quality producers and many units appro approved ved by regula regulato tory ry autho authorit ritie iess in USA USA and UK. UK. Inter Internat nation ional al compa companie niess associated with this sector have stimulated, assisted and spearheaded this dynamic development in the past 53 years and helped to put India on the pharmaceutical map of
th e
world.
Thee India Th Indian n Pharm Pharmac aceut eutica icall sector sector is highl highly y fragm fragmen ente ted d with with more more than than 20,000 20,000 registered units. It has expanded drastically in the last two decades. The leading 250 pharmaceutical companies control 70% of the market with market leader holding nearly
7%
of
the
market
share.
The pharmaceutical industry in India meets around 70% of the country's demand for bulk bulk drugs, drugs, drug interme intermediat diates, es, pharmac pharmaceuti eutical cal formulat formulations ions,, chemica chemicals, ls, tablets, tablets, capsules, orals and invertible. There are about 250 large units and about 8000 Small Scale Units, which form the core of the pharmaceutical industry in India (including 5 Cent Centra rall Publ Public ic Secto ectorr Unit Units) s).. Th Thes esee unit unitss prod produc ucee the the com complet pletee rang rangee of pharmaceutical formulations, i.e., medicines ready for consumption by patients and about 350 bulk drugs, i.e., chemicals having therapeutic value and used for production of pharmaceutical formulations.
Following the de-licensing of the pharmaceutical industry, industrial licensing for most most of the the drug drugss and and phar pharm maceu aceuti tica call prod produc ucts ts has has been been done done away away with with.. Manufacturers are free to produce any drug duly approved by the Drug Control 14
Authority. Technologically strong and totally self-reliant, the pharmaceutical industry in India has low costs of production, low R&D costs, innovative scientific manpower, stre streng ngth th of nati nation onal al labo labora rato tori ries es and and an incr increa easi sing ng bala balanc ncee of trad trade. e. The Pharmac Pharmaceuti eutical cal Industry Industry,, with with its rich scientif scientific ic talents talents and researc research h capabil capabilitie ities, s, suppor supported ted by Intel Intellec lectu tual al Prope Property rty Prot Protect ectio ion n regim regimee is well well set set to take take on the international
market.
ADVANTAGE INDIA Competent workforce: India has a pool of personnel with high managerial and
technical competence as also skilled workforce. It has an educated work force and Engli glish
is
com commonl only
used. sed.
Profes fessional onal
ser servic vices
are
easil sily
avai vailable ble.
Cost-effective chemical synthesis: Its track record of development, particularly in
the area of improved cost-beneficial cost-beneficial chemical synthesis for various drug molecules is excellent. It provides a wide variety of bulk drugs and exports sophisticated bulk drugs.
Legal & Financial Framework: India has a 62 year old democracy and hence has a
solid legal framework and strong financial markets. There is already an established international
industry
and
business
community.
good d netwo network rk of worl world-c d-cla lass ss educa educati tiona onall Informati Information on & Tech Technolog nology: y: It has a goo institutions
and
established
strengths
in
Information
Technology.
Globalization: The country is committed to a free market economy and globalization.
Above all, it has a 70 million middle class market, which is continuously growing.
Consolidation: For the first time in many years, the international pharmaceutical
industry is finding great opportunities in India. The process of consolidation, which has become a generalized phenomenon in the world pharmaceutical industry, has started
taking
place
in
India.
THE GROWTH SCENARIO
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India's US$ 3.1 billion pharmaceutical industry is growing at the rate of 14 percent per year. It is one of the largest and most advanced among the developing countries.
Over 20,000 20,000 register registered ed pharmac pharmaceuti eutical cal manufac manufacture turers rs exist exist in the country country.. The domestic pharmaceuticals industry output is expected to exceed Rs500 billion in the financial year 2009, which accounts for merely 2.5% of the global pharmaceutical secto sector. r. Of this, this, bulk drugs drugs will will account account for Rs 290 bn
and formu formula lati tions ons,, the the
remaining Rs 210 bn . In financial year 2009, imports were Rs 190 bn while exports were Rs230 bn.
STEPS TO STRENGTHEN THE INDUSTRY
Indian companies need to attain the right product-mix for sustained future growth. Core competencies will play an important role in determining the future of many Indian pharmaceutical pharmaceutical companies in the post product-patent product-patent regime after 2005. Indian companies, companies, in an effort to consolidate their position, will have to increasingly increasingly look at merger and acquisition options of either companies or products. This would help them to offset offset loss loss of new new produc productt optio options, ns, impro improve ve their their R&D R&D effort effortss and impr improve ove distribution to penetrate markets. Rese Resear arch ch and and deve develo lopm pmen entt has has alwa always ys take taken n the the back back seat seat amon amongs gstt Indi Indian an pharm pharmace aceuti utical cal comp compani anies. es. In order order to stay stay compet competiti itive ve in the futur future, e, India Indian n companies will have to refocus and invest heavily in R&D. Thee India Th Indian n pharm pharmac aceut eutic ical al indust industry ry also also needs needs to take take advant advantag agee of the recent recent advances in biotechnology and information technology. The future of the industry will be determined by how well it markets its products to several regions and distributes risks, its forward and backward integration capabilities, its R&D, its consolidation through mergers and acquisitions, co-marketing and licensing agreements. As per WTO, from the year 2005, India will grant product patent recognition to all new chemical entities (NCEs) i.e., bulk drugs developed then onwards. The Indian Government's decision to allow 100 percent foreign direct investment into the drugs and pharmaceutical industry is expected to aid the growth of contract research in the country. Technology Technology transfer to 100 percent Indian subsidiaries of MNCs is expected only in 2005.
Indian pharmaceutical interests in making a mark on the global scene got a boost 16
when Dr. Reddy's licensed two of its anti-diabetic molecules to Novo Nordisk and when Ranbaxy licensed its Novel Drug Delivery System (NDDS) (NDDS) of ciprofloxacin ciprofloxacin to Bayer. MNCs in India faced the problem of having a very high DPCO coverage, weakening their bottom lines as well as hindering their growth through the launch of new products. DPCO coverage is expected to be diluted further in the near future benefiting the MNCs. New legislation is also expected in the OTC segment increasing the number of brands in the Over the Counter (OTC) segment.
The Indian pharmaceutical industry is also getting increasingly U.S. FDA compliant to harness the growth opportunities in areas of contract manufacturing and research. Indian Indian compani companies es are increasi increasingly ngly focusing focusing on tapping tapping the U.S. U.S. generic generic market market,, projected to be around $18 billion.
The Indian Pharmaceuticals sector has come a long way, being almost non-existing during 1970, to a prominent prominent provider of health care products, meeting almost 95% of country’s pharmaceutical needs. The domestic pharmaceutical output has increased at a compound growth rate (CAGR) of 13.7% per annum. Currently the Indian pharma industry is valued at approximately $ 8.0 billion. Globally, the Indian industry ranks 4th in terms of volume and 13th in terms of value. Indian pharmaceuticals industry has over 20,000 units. Around 260 constitute the organized sector, while others exist in the smallscale sector.
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HISTROY Lupin Limited, headquartered in Mumbai, India has successfully positioned itself as a Transnational Pharmaceutical Company, with a wide global footprint. The Company develops and markets a wide range of quality, affordable generic and branded formulations and APIs in multiple markets across the world. world. Business Mix
The Company has gained recognition as the world’s largest manufacturer of Tuberculosis drugs. Over the years, the Company has moved up the value chain and has not only mastered the business of certain intermediates and APIs, but has also leveraged its strengths to build a formidable formulations business. It has a significant presence in Cephalosporins, Cardiovasculars (prils and statins), Diabetology, Asthama and NSAIDs therapy segments. Over the last four years, the Company’s business mix has improved with close to 70% of its revenues coming from formulations and 30% from APIs. Global Footprint
The Company has a wide onshore and offshore presence with its products available in close to 70 countries. In terms of overall revenues, the overseas business constitutes close to 55%, while the balance comes from the domestic market. Lupin has retained a stronghold in India growing ahead of the industry and has achieved a formidable position in many segments leveraging its sound marketing prowess and a wide product basket. The US is Lupin’s largest market overseas where it has developed a robust branded and generic business. Over a period of four years, Lupin has developed a business of US$ 200 mn in the US and has been recognized as one of the fastest growing Companies in this market. The Company aspires to replicate this success in other Advanced Markets such as Europe, Japan and Australia. During 2007, Lupin fast tracked its growth trajectory through two acquisitions. While the acquisition of Kyowa positioned the Company amongst the top ten generic pharma Companies in Japan; another acquisition in India provided it a springboard to leap ahead in the CRAMS space.
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Manufacturing
Lupin’s manufacturing facilities, spread across India, play a critical role in enabling the Company realize its global aspirations, benchmarked to International standards, these facilities are approved by international regulatory agencies like US FDA, UK MHRA, TGA Australia, WHO, and MCC South Africa. The Company has leveraged its strong vertical integration in building a global pharmaceutical powerhouse. Research
The Company’s intellectual pool of over 400 scientists is constantly engaged in path breaking research. Its focus on drug discovery and advanced drug delivery systems research has resulted in significant progress in its Novel Drug Discovery & Development program and development of platform technologies that are being used to develop value-added generic pharmaceuticals. Company’s strong focus on creating Intellectual Property (IP) assets has resulted in generating revenue streams through IP. The Company’s overall research prowess enables it to master cutting edge science and technology. Financials
Currently positioned amongst the top five pharmaceutical companies of India, the Company is committed to achieve sustainable earnings and growth for all its stakeholders. For the financial year ended March 2008, Lupin's Revenues and Profit after Tax were Rs.27, 730 mn (US$ 694 mn) and Rs.4,083 mn (US$ 102 mn) respectively. The Company reported a 34 % rise in revenues while the Net profit increased by 32%. The company incurred R& D expenditure of Rs 1546 mn, which is 6 % of its gross sales. Going Forward
Lupin is poised to capitalize the opportunities that are set to unfurl in the global pharmaceutical space and establish itself as an innovation led transnational pharmaceutical company. company.
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Our Vision “To be an Innovation - led Transnational Transnational Pharmaceutical Company”
Our Values •
Superior Performance
•
Integrity
•
Entrepreneurship
•
Customer Orientation
•
Working Together
•
Year 2 0 09
Respect for People History & Milestones Milestones Lupin acquired majority stake in Multicare Pharmaceuticals Philippines Inc.
2 0 08
Lupin expanded its product basket in Japan-Kyowa and received ten products approval from Ministry of Health & Labour Welfare, Japan. Lupin acquired Hormosan Pharma GmbH, a Generic Company in Germany. Lupin acquired stake in Generic Health Pty Ltd., in Australia. Lupin acquired Pharma Dynamics in South Africa.
2 0 07
Lupin acquired Vadodara based Rubamin Laboratories Ltd (rechristened to Novodigm Ltd). Lupin acquired Kyowa Pharmaceutical Industry Company Limited, a leading Generic Company in Japan. Commercial production was started at the New finished dosage facility
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at Jammu. Lupin received “Best new manufacturer of the year” award from Amerisource Bergen. 2 0 06
A new facility was set up at Jammu. Maiden Bonus share were issued in the ratio of 1:1. Maiden issue of Foreign Currency Convertible Bonds (FCCB) aggregating US $100 mn, which are listed on Singapore Stock Exchange.
2 0 05
Maiden Employees Stock Option Plan was implemented. US FDA and MHRA (UK) approvals were received for Goa. New Lovastatin plant at Tarapur was approved by the US FDA.
2 0 04
WHO approval was received for State of the art formulation Plants at Goa and Aurangabad.
2003
Lupin had successfully implemented SAP ERP across the Company to unify all business functions and processes. Introduced collaborative messaging and workflow solution on the intranet. Oral Cefaclor injectible Plant at Mandideep was approved by US FDA. Lupin Pharmaceuticals Inc. USA was formed for trading, marketing and developmental activities in the US.
2002
Exports to the Advanced Markets crossed Rs.1000 mn. Rising trend of exports as a % of total revenue – up 33% year-overyear. Patent filings crossed 100.
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Five AND As were filed. New Anti-TB facility was commissioned at Aurangabad. Rablet was rated by ORG-Marg as the second best launch of FY 200203. 2001
Lupin became the only Asian Pharmaceutical company to receive US FDA approvals for its sterile cephalosporin facility. A state of the art US FDA approvable oral cephalosporin bulk active plant was commissioned. State of the art R&D Centre at Pune was commissioned. Lupin commenced supply of Cephalosporin bulk actives to its alliance partners in the US. Lupin Laboratories Ltd was amalgamated with Lupin Chemicals Ltd, whose name was changed to Lupin Limited.
2000
The Cefotaxime facility was approved by the US FDA. The Company’s restructuring operations yielded encouraging results. Work commenced on the R&D Centre at Pune.
1999
Lupins inject able cephalosporin bulk active plant at Mandideep was approved by UK MCA.
1997
Lupin’s inject able Cephalosporins dosages plant at Mandideep obtained UK MCA approval. Lupin’s formulations facility at Aurangabad was upgraded. Three plants of Lupin, manufacturing Cefaclor at Mandideep, 7 ACCA at Ankleshwar and Rifampicin at Tarapur, got US FDA approvals. ICMA Technology award was given for injectable Cephalosporins.
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1996
Government of India conferred the ‘Best Exporter’ Award on Lupin. Company received the ICMA Technology award for injectable Cephalosporins.
1992
Fermentation Plant of Lupin Chemicals Ltd was established at Tarapur, Maharashtra. Sterile Plant for injectable Cephalosporins (bulk) was commissioned at Mandideep. Lupin Laboratories Ltd and Lupin Chemicals Ltd raised money through IPOs in 1993-94. Won FICCI’s award for contribution towards rural development.
1991
Injectable cephalosporin (bulk and dosages) production was initiated at Mandideep. Lupin won the ICMA technology award for successfully manufacturing Vitamin B6.
1989
Joint venture in Thailand – Lupin Chemicals (Thailand) Ltd was established. Two Plants Ankleshwar and Mandideep received US FDA approvals for maintaining stringent quality standards.
1988
The Lupin Human Welfare and Research Foundation (LHWRF) was founded by Dr Desh Bandhu Gupta to provide an alternative, sustainable and replicable model of rural development.
1987
Cephalexin Plant at Mandideep and 7 ADCA plant at Ankleshwar went on stream.
1981
Ethambutol production was started
1980
Lupin commissioned a formulations plant and an R&D center at Aurangabad.
1972
Lupin Laboratories Pvt Ltd was incorporated.
1968
Lupin commenced
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General Awards
Year 2008
2007
Awards 'Wal-Mart Supplier Award of Excellence' for overall commitment, performance, on-time shipping, innovative programs and overall partnership. Amerisource Bergen, one of the largest and leading wholesalers in the US conferred the “Best New Manufacturer of the Year, Generics Rx” to Lupin Pharmaceuticals Inc. Cardinal Health conferred two awards – the “Trade Representative of the Year” and the “Quality Supplier Award” to Lupin Pharmaceuticals Inc. CSR Awards
Year 1990
1991
Awards Merit certificate by the District Administration for Excellent Social Service & Rural Development of Independence Day. FICCI Award for outstanding achievement in rural development by Prime Minister of India.
1992
ICMA Award for innovative and purposeful programs for social progress.
1993
PHD chamber of commerce award for Corporate Citizen.
1994
Jamna Lal Bajaj Award for outstanding contribution in Rural Development.
1995 1998 2003
2006
Bhamashah Award for contribution in the field of Education by Chief Minister of Rajasthan. Merit certificate by the Chief Minister of Rajasthan for voluntary and social services. Business world FICCI-SEDF Corporate Social Responsibility Award 2003 by ExPresident of India Shri K R Narayanan. FICCI Ladies Organization Award – Outstanding Institution for Women Welfare by FICCI’s Secretary General Shri Amit Mitra and FLO’s President Mrs Usha Agarwal. Best NGO Award from NABARD for significant work done in area of SHG formation and Bank Linkages.
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OVERVIEW
Guided by its mission to become an Innovation led, Transnational Pharmaceutical Company, Lupin’s scientific pool of close to 450 researchers constantly strive to develop new technologies and products. Lupin Research Park (LRP) at Pune, spread across 19 acres is the hub of the Company’s research activity. The Centre harbours a culture that fosters innovation and helps shape inventions into innovative commercial products. Today, the Company has the proficiency to develop a wide range of pharmaceuticals, across the value chain encompassing complex APIs to value-added difficult-todevelop formulations. During 2007-08, the total investment of the Company in R&D (excluding depreciation) was over Rs.2,000 mn, 7.5% of consolidated net sales.
Overview Lupin’s manufacturing facilities, spread across India, play a critical role in enabling the Company realize its global aspirations, benchmarked to International standards, these facilities are approved by international regulatory agencies like US FDA, UK MHRA, TGA Australia, WHO, and MCC South Africa. The Company has leveraged its strong vertical integration in building a global pharmaceutical powerhouse.
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Key Products: APIs and Intermediates
Approved by:
WHO (Geneva)
Ankleshwar, Gujarat, India
Key Products: APIs and Intermediates
Approved by:
US FDA
WHO
Tarapur, Maharashtra, India
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Key Products: APIs and Formulations
Approved by:
WHO
US FDA
UK MHRA
Mandideep, Madhya Pradesh, India
Key Products: Formulations
Approved by:
WHO (Geneva)
Aurangabad, Maharashtra, India
Key Products: Formulations
Approved by:
US FDA
UK MHRA
Goa, India
Key Products: Formulations
Jammu, Jammu & Kashmir, India
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Key Products: Formulations
Approved by:
(In the pipeline)
Indore, Madhya Pradesh, India
Key Products: Formulations
Approved by:
MOH (Japan)
Business Development and Partnerships
At Lupin, we strive to help people lead healthier lives through delivering affordable and accessible medication to patients across the world. We are engaged in discovering, developing and commercializing innovative medicines that satisfy unmet medical needs. We recognize the contributions made by our partners in achieving this objective and believe in leveraging successful partnerships in the areas of discovery, technology, products and commercial operations. Over the years we have executed several business development transactions including product in/out-licensing, co-development agreements, technology licenses, joint ventures, and acquisitions – that are collectively enabling Lupin to make medical treatment accessible to a larger patient population across the globe. Our Strengths are: •
Fully Integrated pharmaceutical company
•
Strong Research Base in the areas of Generics, New Chemical Entity, Novel Drug Delivery Systems, New Biological Entity, research
•
World Class GMP Compliant Manufacturing Facilities approved by international
28
regulatory agencies •
Sound Technology Base and expertise to scale up technology to deliver innovative products
•
Strong Global Footprint : USA, India, Japan, Australia, UK, Germany, CIS
•
Large Dynamic Sales Force
Robust Distribution Network Quality The importance of quality cannot be undermined in any organization. The customers both in India •
and overseas are becoming increasingly demanding with respect to cost, quality and delivery performance. Achieving these three require imbibing the philosophy of ‘Total Quality Management’ into the organization’s culture. It has to become the very essence of the organization. More so in the case of the pharmaceutical industry. The pharma industry is subject to strict quality control and scrutiny. India by far has the largest number of USFDA approved plants, outside of US which exemplifies the increasing focus on quality assurance of the industry. At Lupin, we take considerable pride in the quality that we ensure and assure. Our operations are guided by our Quality Policy. We believe that quality is the mainstay of competitiveness. We thus constantly create an environment of Quality and Compliance in line with the global best practices. Quality Assurance is defined as the process of 'providing confidence that requirements will be met through highest quality’ and there after systematic activities are put in place to ensure quality requirements for a product or service are fulfilled. The Corporate Quality Assurance (CQA) cell at Lupin works as a link between research & manufacturing for quality products for customers. It targets at ensuring that the Lupin Group follows a standardized common quality system ensuring consistency, effectiveness and efficiency during the manufacture of APIs and formulations at all sites. The CQA focuses on: •
Establishing Quality Standards
•
Developing processes to achieve those standards
•
Monitoring to ensure Compliance
•
Upgrading technology standards
•
Training personnel on quality aspects
The global quality team is engaged in driving the quality philosophy of the organization and
29
assuring that the global standards of good manufacturing are implemented in the best form and spirit at every location during each process. CQA monitors effectiveness of site Quality organization and Contract Manufacturing Quality organization through periodic quality reviews, periodic audits, budgetary reviews and review of compliance to regulatory inspections and customer audits. Quality reviews focus on review of failures, rejections, market complaints, deviations, non-compliances, product stability, various Corrective and Preventive actions planned, productivity, cost of quality etc. CQA also supports the site Quality organization by providing necessary resources, technical guidance and training. CQA also continuously endeavors to upgrade skills and competence levels in QC / QA function by introducing advanced technologies. Enterprises that exemplify leadership in quality not only deliver quality products and services, but also effectively set industry benchmarks and redefine standards for those who share their mission. At Lupin we are constantly endeavoring to achieve excellence. Our Quality Policy The Company shall establish and maintain high standards of quality for its products •
manufactured at various sites, including those at contract manufacturing sites, meeting cGMP and cGLP norms. •
Products shall be manufactured and marketed meeting all quality parameters related to identity, purity, safety and efficacy through well-defined quality assurance and validated systems.
•
The Company shall comply with current national and international regulations as applicable and continuously strive for achieving stringent global standards.
•
Major thrust shall be given on quality upgradation and product integrity on continuous basis to achieve higher level of customer satisfaction.
•
Continuous training shall be given to the employees in the organization to enhance their skills in performing their assigned work.
30
OBJECTIVES OF THE STUDY 31
OBJECTIVES OF THE STUDY
To
know
th e
awareness
of
th e
customer
towards
lupin
Pharmaceuticals.
To study the major market leader of these Salt.
To find the factors that dealer keeps in mind while purchasing the particular brand of these Salt. Salt.
To analyze the performance of Lupin products at medical shops of Chandigarh, panchkula, Manimajra, Gurdaspur and Batala region.
32
RESEARCH METHODOLOGY
Rese Resear arch ch mean meanss a sear search ch for for know knowle ledg dgee or gain gain some some new new know knowle ledg dgee and and methodology methodology can properly refer to the theoretical theoretical analysis of the methods appropriate appropriate to a field of study or to the body of methods and principles particular to a branch of knowledge. knowledge. A Research Research methodology methodology has a specified framework framework for collecting collecting the data in an effective manner. Research methodology means a "defining a problem, defini defining ng the resea research rch objec objecti tives ves,, devel developi oping ng the resea research rch plan, plan, coll collect ectin ing g the information, analyzing the information and presentation of findings." Such framework is called "Research Design". The research process that was followed by me consisting following steps;
A) Defining the problem B) Developing the research plan C) Collection of information D) Analyzing the information E) Presentation of findings
A) Defining the problem and research objectives
The definition of problem includes the study of “Survey to check sale of Glycomet and Telsartan brands available in the market”.
B) Developing the the Research Research Plan
The development of research plan has following steps:
33
1.
Data source
2.
Research approach
3.
Research instrument
4.
Sampling plan
i)
Sample unit
ii)
Sample size
iii)
Contact methods
1. Data Source: The researcher can get two types of data:
a)
a)
Primary Data
b)
Secondary Data
Primary Data Primary data is a data which did not exist earlier and is being collected by the researcher first time for its specific objectives. In other words, direct collection of data from the source of information, technology including personal interview, telephonic interviews with the help of Questionnaire.
b)
Secondary data Any data which have been collected earlier for some purpose are the secondary data. Indirect collection of data from sources containing past or recent past information like brochures, annual publication, books etc. Secondary sources used are: Text books Internet sites Newspaper articles Brouchers
2.
Research Approach
Survey is best suited for descriptive and analytical research. research. Survey are undertaken to learn about people's knowledge, beliefs, preferences, satisfaction and so on and to measure these magnitudes in the general public. Therefore, I have done this survey for Descriptive and analytical research process.
3. Research instrument
34
Questionnaire is a type of statistical statistical survey handed out in in paper Quesestionnaire: Questionnaire form usually to a specific demographic to gather information in order to provider better service or goods goods.. A documen documentt that contains contains a set of question questionss that has been specially formulated as a means of collecting information and surveying opinions, etc on a specified subject or theme, etc . A questionnaire was constructed for my survey.
1. Sampli pling pla plan Sample is a group of few items which represents the population or universe from where it has been taken. The sampling plan calls for three decisions;
a)
Sample unit
b)
Sample size
a) Sample unit – who is to be surveyed? The target chemist shop must be defined that has to be sampled. It is necessary so as to develop a sample frame so that everyone in the target population has an equal chance of being sampled. I have completed my survey in Chandigarh Panchkula Manimajra, Gudaspur and Batala..
b) Sample size - how many people have to be surveyed? Generally, large sample size gives more reliable results than small samples. The sample consisted of 300 medical shops. The selection of the shops was done on the basis of Simple Random Sampling. Simple random sampling is the technique in which every item in the universe and population has an equal chance of being selected in the sample. Researcher has no role to play or he cannot influence the selection process there is no possibility of biasness. It can easily assess the accuracy of estimate.
C) Collecting the information
After this, I have collected the information from the respondents with the help of Questionnaire.
D) Analyze the information
35
The next step is to extract the pertinent findings from the collected data. I have tabulated the collected data and developed frequency distributions. Thus, the whole data was grouped aspect wise and was presented in tabular form. Thus, frequencies and percentages were prepared to render impact of study.
E) Presentations of findings
This was the last step of survey.
36
LIMITATIONS OF THE STUDY
1. The study study is to be limited limited to Chandiga Chandigarh, rh, panchkul panchkula, a, manimaj manimajra, ra, Gurdasp Gurdaspur ur and Batala only because of limited time and financial resources. So results of the study may not be generalized for India as a whole.
2. The sample sample size size is limited limited to 300 respondent respondents, s, so complete complete knowledg knowledgee about subject is not possible.
3. Anothe Anotherr facto factorr could could be the the exist existenc encee of biasne biasness ss in the the respo responde ndents nts mind. mind. Many times these biasness have greater bearing on the responses put forward by respondents.
4. Human Human weaknes weaknesses ses such such as inattent inattentiven iveness ess cannot cannot be ignored ignored..
5. Chem Chemist istss genera generall lly y consi consider dered ed me as an insur insuranc ancee agent agent and trie tried d to avoid avoid discussions with me.
6. Chemists Chemists do not not provide provide us the the correct correct informa informatio tion n some time. time.
37
DATA ANALYSIS AND ITS INTERPRETATION
38
DATA ANALYSIS AND ITS INTERPRETATION
1.
Do you you know know abou aboutt Lu Lupi pin n Phar Pharma mace ceut utic ical alss Com Compa pany ny? ?
Response Yes
%age of Respondents 100% No
0%
0%
100%
Yes
No
Interpretation:
Lupin is one of the leading companies in pharmaceutical industry. From the above graph it is clear that all the 100% respondents know about Lupin Pharmaceuticals.
39
2.
Have Have you you eve everr deal deal with with Glyc Glycom omet et and and Tel Telsa sart rtan an Salt Salt /Pro /Produ duct ct? ?
Response Yes No
%age of Respondents 99 % 1%
1%
99%
Yes
No
Interpretation:
From the above graph it is clear that 99% respondents deal in both these salts and remaining 1% respondent do not deal with these Salt.
40
3.
Acc Acc to you, you, whic which h comp compan anie iess lead leadin ing g in this this salt salt? ?
Company Lupin Cipla USV Ranbaxy Dr.Reddy FDC
No. of Respondents Respondents 80 70 62 50 30 8
100 Lupin
80
Cipla 60
USV USV Ranbaxy
40
Dr.Reddy 20
FDC FDC
0
Interpretation:
From the above graph graph it is clear that Lupin Lupin is leading company company in both these Salts. Salts. It is
clear
that
Lupin
is
t he
leading
brand
in
these
Salt
followed
by
Cipla,USV,Ranbaxy,Dr.Reddy and FDC
41
4.
Which company has highest prices?
Company Lupin Cipla USV Ranbaxy Dr.Reddy FDC
Highest Price (in Rs.)mg 80 85 75 79 55 29
100 80
Lupin Cipla
60 40
USV USV Ranbxy Dr.Reddy
20
FDC FDC
0
Interpretation:
From the study it is clear clear that Cipla brand has highest price price i.e. Rs. 85/- followed followed by Lupin whose price is Rs. 80/-. The price of Ranbaxy is Rs. 79 while the price of USV is Rs. 75/- followed by Dr.Reddy and FDC.
42
5.
Which co company br brand ha has lo lowest pr price ?
Company Lupin Cipla USV Ranbaxy Dr.Reddy FDC
Lowest Price (in Rs.)mg 80 85 75 79 55 29
500 400
FDC FDC Dr.Reddy
300 200
Ranbaxy USV USV Cipla
100
Lupin
0
Interpretation:
From the study it is clear that FDC Brand has the lowest price i.e. Rs. 29/- per mg.
43
6. What is the weekly (prescription) sale of this salt? Salt Glycomet Telsartan
Weekly sale(app.) 8 10
10 8 6 4
Glycomet Telsartan
2 0
Interpretation:
From the above data we find that the weekly sale of Glycomet is app. 8 prescriptions and weekly sale of Telsartan is app. 10 prescription.
44
8.
Whic Wh ich h com compa pany ny has has goo good d rel relat atio ion n and and deal dealss wit with h you you.. Ple Pleas asee specify?
Interpretation:
From the survey it is clear that Lupin and USV have good dealing with the respondents and they tried to maintain good relations with doctors also.
45
9.
By doin doing g whi which ch medi medium um you you com commu muni nica cate te with with your your comp compan any? y?
Particulars E-mail M.R. Phone Post
%age of Respondents 10% 76% 14% --
0%
14%
10%
76%
E-mail
M.R.
Phone
P os t
Interpretation:
From From the the above above graph graph it is clea clearr that that 76% respo responde ndents nts commu communi nicat catee with with the the company through Marketing Representatives, 14% through Phone and remaining 10% through E-mail. None of the respondents is using post to communicate with the company.
46
10. Do the goodwill of the company affect the sales of this salt?
Response Yes
%age of Respondents 75% No
25%
75%
Yes
No
Interpretation:
From the above graph it is clear that goodwill of the company affects the sales of medical shops. 75% respondents favored that the goodwill of the company affect their sale while 25% respondents said that it doesn’t put much impact on their sales.
47
11. 11.
What Wh at are are the the per perfo form rman ance ce of of Lupi Lupin n prod produc uctt /sal /saltt of your your sho shop? p?
Particulars Very Good Good Average
%age of Respondents 57% 27% 15%
15%
58%
27% 27%
Very Good
Good
Average
Interpretation:
From the above graph it is clear that Lupin has good name and fame in the market. 57% respondents favored that the performance of Lupin in their shop is very good, 27% says good and remaining 15% says that the performance of Lupin is average in their shop.
48
FINDINGS AND SUGGESTIONS
49
FINDINGS OF THE STUDY
•
Lupin is one of the leading companies in pharmaceutical industry. From
the above study it is clear that all the 100% respondents know about Lupin Pharmaceuticals. •
From the above study it is clear that 99% respondents deal in both these
salts and remaining 1% respondent do not deal with these Salts. •
From the above study it is clear that all the major companies manufacture
both these Salts. •
From the above study it is clear that Lupin is leading company in these
Salts. •
From the study it is clear that Cipla brand has highest price of these Salt
i.e. Rs. 85/- while FDC Brand has the lowest price of these Salt i.e. Rs. 28/. •
From the above data we find that weekly sale of Glycomet and Telsartan is
app. 8 and 10 packs. •
From the above study it is clear that Lupin and USV have good dealing
with the respondents and they tried to maintain good relations with doctors also. •
From the above study it is clear that 76% respondents communicate with
the the comp company any throug through h Marke Marketin ting g Repre Represen senta tati tives ves,, 14% throu through gh Phone Phone and rema remaini ining ng 10% throu through gh E-ma E-mail il.. None None of the the respon responden dents ts is using using post post to communicate with the company. •
From the above study it is clear that Lupin has good name and fame in the
market. 57% respondents favored that the performance of Lupin in their shop is very good, 27% says good and remaining 15% says that the performance of Lupin is average in their shop.
50
SUGGESTIONS
•
There should be proper feed back for the chemists, whenever any scheme is introduced for the chemists, they should be made aware of it. Medical or Sales representative should be given guidelines to intimate each and every chemist of his area about the schemes.
•
The company should provide gifts, incentives and tours at free of cost to retailers and dealers to promote the sale of Lupin.
•
The company should determine the pricing strategy of other company and fix the price of their product by keeping price of other company in their mind..
•
To maintain relationship with USV for long time company should provide credit facility to USV and other product scheme to company.
•
As 10% respon responden dentt commu communic nicat atee throu through gh emai emaill so comp company any shoul should d use advance technology so that large no of respondent communicate through email and phone.
•
As 57% respondent favor the product of Lupin so company should create awareness about product by advertisement, promotional campaign or any other method so that more and more people favor Lupin product..
51
CONCLUSION
52
CONCLUSION
India's US$ 3.1 billion pharmaceutical industry is growing at the rate of 14 percent per year. It is one of the largest and most advanced among the developing countries. Indian companies, in an effort to consolidate their position, will have to increasingly look at merger and acquisition options of either companies or products. This would help them to offset loss of new product options, improve their R&D efforts and improve distribution to penetrate markets. The success of the company lies in strict quality control, manufacturing facilities, Cost Competitiveness, Well Developed Industry with Strong Manufacturing Base, Access to pool of highly trained scientists, both in India and abroad, Strong marketing and distribution network. From From the the stud study y it is clea clearr that that Lu Lupi pin n is one one of the the lead leadin ing g comp compan anie iess in pharmaceutical pharmaceutical industry. It is also revealed from the study that 99% respondents respondents deal in both salts and Lupin is leading company in both these salts. Lupin should provide gifts, incentives incentives and tours at free of cost to retailers and dealers to promote the sale sale of Lupin. Lupin should do efforts efforts to promote promote the products and create create awarenes awarenesss through through channels channels such such as advertisem advertisements ents..
The company company should
provide atleast 20% discount and credit period to the wholesaler/retailers promote products. There are lots of opportunities in Indian market therefore Lupin should move in new markets and grow the network and distribution channels. The company has a good name and fame in the market but the company should try to cover more and more doctors through personal personal visit, E-mail, E-mail, posts and hold special presentations presentations to doctors, so they also recommend the products of Lupin.
Thus we can say that the company is growing well in the market by leaps and bounds and the day is no far when Lupin will left behind all the major companies of the world. The company has proper vision and mission for the future and I hope Lupin will easily achieve its future targets and mission.
53
ANNEXURE
54
QUESTIONNAIRE
Dear Respondent,
I am studen studentt of M.B. M.B.A. A.-3 -3rd semest semester er of C.T. C.T. Insti Institut tutee of Manag Managem emen entt & I.T. I.T.,, Jalandhar. I am conducting a survey to check sale of Glycomet and Telsartan salt in the market. Its perception, prices and any scheme offered by company. So I need your co-operation which will help me to draw conclusive. I assure that your information will be kept confidential. 1.
Do you you kno know w abo about ut Lupin upin Phar Pharma mace ceut utic ical alss Com Compa pany ny?? Yes
2.
4.
No
o
Have Have you ever ever deal deal with with Glyc Glycom omet et and and Tel Telsa sart rtan an Salt Salts? s? Yes
3.
o
o
No
o
Which company made this Salt? Lupin
o
Cipla
o
USV
o
Ranbaxy
o
Dr.Reddy
o
FDC
o
Which co companies le leading in in th this sa salt? Lupin
o
Cipla
o
USV
o
Ranbaxy
o
Dr.Reddy
o
FDC
o
55
5.
6.
7.
8.
9.
Which company has highest prices? Lupin
o
Cipla
o
USV
o
Ranbaxy
o
Dr.Reddy
o
FDC
o
Which company bran rand has lowest price ice? Lupin
o
Cipla
o
USV
o
Ranbaxy
o
Dr.Reddy
o
FDC
o
What What is the the week weekly ly (pre (presc scri ript ptio ion) n) sale sale of Glyc Glycom omet et Salt Salt ? 5-10
o
10-15
o
15-20
o
20-25
o
What is the weekly(prescription) sale of Telsartan salt ? 5-10
o
10-15
o
15-20
o
20-25
o
Whic Which h com compa pany ny has has goo good d rel relat atio ion n and and deal dealss wit with h you you.. Ple Pleas asee specify ? _______________________________________________________ _______________________________________________________
10.
11.
By doing doing which which mediu medium m you you commu communic nicate ate with with your your compan company? y? E-mail
o
M.R.
o
Phone
o
Post
o
Is the goodwill of the company effect the sales of this salt? Yes
12.
o
No
o
What What are the perfo perform rmanc ancee of Lu Lupi pin n prod product uct /salt /salt of your your shop? shop? Very Good
o
Good o
Average o
56
PROFILE OF THE RESPONDENT
Name : _______________________ ___________________________________ ___________________ _______ Addr Addres esss :
____ ______ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ __ __________________________________________
Thanks for participating in the survey.
57
BIBLIOGRAPHY
BOOKS
Kotler, Philip, “Marketing Management”, Prentice Hall India, 2004 •
Kothari, C.R., “Research Methodology: Methods & Techniques”, Wishwa Publication, Delhi, 1990
Malhotra, Naresh Kumar, “Marketing Research” 4 th edition, Pearson Education (Singapore) Pvt Ltd., India branch, Delhi.2004. Tull, S.D.., and Hawkins, D.I., “Marketing Research”, 6 th ed., Prentice Hall India New Delhi, 2002.
WEBSITES
•
wwwLupin.com
•
www.ficci.com/studies/pharma.pdf
58
